Intuiflow Case Studies | Demand-Driven Supply Chain Success Stories

AmorePacific Boosts Service Levels and Cuts Inventory with Intuiflow

Written by Demand Driven Technologies | Jul 31, 2025 12:34:23 AM

AmorePacific, a global beauty and health leader with more than 30 brands and operations worldwide, faced persistent supply chain challenges despite decades of investment in MRP/ERP systems. With cutting-edge R&D centers and extensive distribution networks, the company needed a way to stabilize planning and improve responsiveness across thousands of raw materials and packaging items.

Traditional ERP forecasts were unreliable. Long-term forecast accuracy fell below 10%, leaving the purchasing team unable to rely on system output. Workarounds became the norm: planners shortened lead times to cope with uncertainty, yet shortages and stockouts still disrupted production and customer service.

That’s when AmorePacific turned to Intuiflow. By applying Demand Driven MRP (DDMRP) logic to buffer raw materials and manage variability dynamically, the company stabilized supply, streamlined purchasing, and improved service levels across its global operations.

Results at a Glance

  • Service levels increased to 99%
  • Purchasing response rate improved from 60% to 90%
  • Raw material inventory reduced by 20%
  • Improved responsiveness during seasonal disruptions such as Chinese New Year

The Challenge

Over 20 years, AmorePacific implemented multiple MRP/ERP systems to improve weekly product planning and synchronize demand. But despite daily MRP runs, the results were disappointing.

Forecast accuracy was less than 10% long term, making the data essentially unusable for purchasing. The buying team treated system forecasts only as reference, relying instead on manual workarounds to shorten lead times. Even so, shortages and stockouts remained common, adding risk to production schedules and impacting customer service.

“Our purchasing team could not depend on the sales forecast. We needed a better way to align supply with demand.” — (Executive at AmorePacific)

The Intuiflow Solution

Simulation-first → ROI proven before purchase.

Live in weeks, ROI in ~60–90 days.

Autopilot optimized buffers item by item.

Intuitive UI reduced firefighting and manual work.

AmorePacific implemented Intuiflow and adopted DDMRP buffer positioning logic in a multi-step initiative. First, buffers were added at raw material warehouses to reduce finished goods lead times. Next, buffer profiles were set up for approximately 1,500 raw material and packing items, including long-lead packaging. Finally, dynamic buffer management was applied to automatically adjust lead times during seasonal disruptions like Chinese New Year.

With Intuiflow, the company created a supply chain that adapts to variability in real time—eliminating the need for workarounds and enabling purchasing teams to operate with confidence.

The Results

The impact was significant. Purchasing response rates for packing materials jumped from 60% to 90%, which directly supported a dramatic improvement in service levels to 99%. At the same time, raw materials inventory was cut by 20%, freeing working capital without compromising reliability.

Dynamic buffer management also proved its value during high-risk periods. By automatically adjusting lead times on Chinese-sourced items ahead of New Year shutdowns, AmorePacific minimized shortages and stockouts, keeping production running smoothly through a critical seasonal challenge.

The order management process also improved, with planners spending less time chasing exceptions and more time making proactive decisions. As a result, the company achieved both higher service and lower inventory—a rare combination in traditional ERP-driven environments.

“After implementing Intuiflow, we significantly improved both service and efficiency—results that had eluded us for years with MRP/ERP alone.” — (Executive at AmorePacific)

Looking Ahead

AmorePacific plans to extend Intuiflow’s demand-driven logic across more sites and product categories. With buffers now protecting key raw materials and packing items, the company is positioned to handle future volatility, scale growth, and continue delivering on its promise of high service levels with leaner inventory.

“Intuiflow gives us the adaptability we need to sustain service excellence globally.” — (Executive at AmorePacific)

Book a demo today and see how Intuiflow helps global leaders like AmorePacific achieve 99% service while cutting inventory and proving ROI before purchase.